It’s coming! The Illuvium land sale IIP passed, giving us some critical parameters (i.e., starting prices by tier, Dutch auction conditions) to help us understand what to expect once the sale date is finally announced, believed to be some time in May. In my latest article on Infoluvial.io, I’ll share some new tools I developed to help you as you plan for the auction, and even during the auction, and of course, answer every Illuvium staker’s biggest question, how much revenue distribution should you expect?
This article contains tools for both buyers and Illuvium stakers, as well as my predictions on what might be the largest NFT sale of all time!
If you're not familiar with Illuvium land, these NFTs will be tied to a new minigame, Illuvium Zero, with resources generated by land able to be sold to players of the maingame. Here's a quick summary of the IIP, and check out the full analysis over at Infoluvial! Thanks for reading!
THE IIP: CLIFFS NOTES EDITION
Here’s a quick summary of the IIP, which passed with a 5-0 council vote. We know this will be the first of five land sales and 20,000 land NFTs will be sold as part of this initial sale. Below is a chart of the number of plots sold per tier, as well as their starting price.
The sale will run as a Dutch auction, meaning prices will start at the above listed prices in ETH, and price will decrease by 2.5% per minute for two hours or until a buyer is found. Land will be sold as individual units, meaning you will know the exact location, region, and tier of the land when you purchase it. Once purchased, the land will be minted on the IMX layer two, which reduces transaction fees versus a layer 1 Ethereum mint. At that point, all other features will be determined, such as fuel and element sites and landmarks. The exact details (number of fuel and element sites, landmark details, and production boosts) are listed in the IIP, but as the economy behind this is still yet to be finalized, we will ignore those details for now.
During the sale, land will be placed for auction in blocks of 278 NFTs, with a new block beginning each hour for three days. This means there will potentially be multiple blocks for sale at different places of their price decay curve. Each block will be nearly identical in tier assortment, which I’ll hypothesize to mean about 12 tier 4s, 29 tier 3s, 70 tier 2s, and 167 tier 1s will be for sale during each block.
To purchase, all you will need to do is connect your wallet, select the land you want, and buy before anyone else. While the Dutch auction design is intended to avoid gas wars, whoever has their transaction processed first for the specific land will win the bid. Transaction fees must be paid in ETH, so you will need sufficient ETH in your wallet. The purchase price for Tiers 1-4 can be paid with either ETH or sILV2, but not a combination thereof! If you plan to use sILV2, which is pegged to the current price of ILV for the land sale transaction, you must have sufficient value at the time of purchase, plus ETH to cover transaction fees. If you plan to only use ETH, you must have enough to cover both the transaction fees and the bid cost. Transaction fee estimates are not yet known.
Tier 5 will be sold on a separate system, using an English auction bidding process, with the price increasing with each successive bid until the auction closes. Due to the system limitations, technical complexity, and limited number of individuals impacted, Tier 5 must be paid for entirely in ETH. Two of the seven Tier 5 plots will be sold in the first auction.